Kraft Heinz has said three New York plants are "under review"

Kraft Heinz has said three New York plants are "under review"

Kraft Heinz Co. has confirmed three production sites in New York state are "under review" as reports speculate up to 950 jobs could go at the recently-created food giant.

A report in Crain's Chicago Business citing "sources close to the matter" said some 950 people could be laid off. The report added the plants affected included one in Avon, one in Walton and another in Campbell.

A spokesperson for Kraft Heinz told just-food today (29 October): "These three New York factories are under close review and an announcement about their future will be communicated in the next week or so."

The spokesperson confirmed the review was not related to an earlier announcement from Kraft Heinz Co., which said up to 2,500 posts were set to go across the US and Canada.

"We have developed a new streamlined structure for our organisation to simplify, strengthen and leverage the company’s scale. This new structure eliminates duplication to enable faster decision-making, increased accountability and accelerated growth," a spokesperson for Kraft Heinz said at the time. "These necessary actions will better position the company for future growth. Furthermore, these efforts position our company to realise substantial synergies that will drive savings to be reinvested in our brands and products."

The former Kraft Foods Group and HJ Heinz announced a merger in March this year. The combined company is expected to generate annual revenues of around US$29bn. Unveiling the deal, the groups projected $1.5bn in run-rate annual cost savings by 2017.